Friday, April 1, 2016

Income Tax : ITR Forms

Friends, It is common question for assessee that which form is required to submit income tax return for his income. It means income tax department has issued different forms for different assessees. Therefore, it is necessary to know which form is correct for assessees to submit Income Tax Return. The detail for who can use or who can not use a particular Income Tax Form is given below :-

Return Type

Who can use this form

Who cannot use this form

ITR 1 (Sahaj)

This Return Form is to be used by an Individual whose total income for
the assessment year 2015-16 includes :-

·Income from Salary/Pension;
or

·Income from One House
Property (excluding cases where loss is brought forward from previous years);
or

·Income from Other Sources
(excluding winning from Lottery and Income from Race Horses) and does not
have any loss under the head

Note:
Further, in a case where the income of another person like spouse, minor
child, etc. is to be clubbed with the income of the assessee, this Return
Form can be used only if the Income being clubbed falls under the above
income categories

This Return Form should not be used by an
Individual whose Total Income for the assessment year 2015-16 includes:-

a) Income from more than one House Property; or
b) Income from winnings from Lottery or income from Race Horses; or
c) Income under the head "Capital Gains" ,e.g., short-term capital
gains or long-term capital gains from sale of house, plot, shares etc.; or
d) Agricultural income in excess of ₹ 5,000; or
e) Income from Business or Profession ;or
f) Loss under the head 'Income from other sources'; or
g) Person claiming relief under section 90 and/or 91;or
h) Any resident having any asset (including financial interest in any entity)
located outside India or signing authority in any account located outside
India or
i) Any resident having income from any source outside India

ITR 2

This Return Form is to be used by an individual
or a Hindu Undivided Family whose total income for the assessment year
2015-16 includes :-

a) Income from Salary / Pension; or
b) Income from House Property; or
c) Income from Capital Gains; or
d) Income from Other Sources (including Winning from Lottery and Income from
Race Horses).Further, in a case where the income of another person like
spouse, minor child, etc. is to be clubbed with the income of the assessee,
this Return Form can be used where such income falls in any of the above
categories.

This Return Form should not be used by an Individual
or a Hindu Undivided Family whose Total Income for assessment year 2015-16
includes Income from Business or Profession

ITR 2A

This Return Form is to be used by an individual
or a Hindu Undivided Family whose total income for the assessment year
2015-16 includes :-

a) Income from Salary / Pension; or
b) Income from House Property; or
c) Income from Other Sources (including Winning from Lottery and Income from
Race Horses).Further, in a case where the income of another person like
spouse, minor child, etc. is to be clubbed with the income of the assessee,
this Return Form can be used where such income falls in any of the above categories.

This Return Form should not be used by an
Individual or a Hindu Undivided Family whose Total Income for assessment year
2015-16 includes :-

a) Income from Capital Gains; or
b) Income from Business or Profession; or
c) Any claim of relief/deduction under section 90, 90A or 91; or
d) Any resident having any asset (including financial interest in any entity)
located outside India or signing authority in any account located outside
India; or
e) Any resident having income from any source outside India.

ITR 3

This Return Form is to be used by an individual
or an Hindu Undivided Family for the assessment year 2015-16 who is a partner
in a firm and where income chargeable to income-tax under the head
"Profits or gains of business or profession" does not include any
income except the income by way of any interest, salary, bonus, commission or
remuneration, by whatever name called, due to, or received by him from such
firm. In case a partner in the firm does not have any income from the firm by
way of interest, salary, etc. and has only exempt income by way of share in
the profit of the firm, he shall use this form only and not Form ITR-2.

This Return Form should not be used by an
individual whose total income for the assessment year 2015-16 includes Income
from Business or Profession under any proprietorship.

ITR 4S (Sugam)

This Return Form is to be used by an
individual/HUF whose total income for the assessment year 2015-16 includes :-

a) Business income where such income is computed in accordance with special
provisions referred to in section 44AD and 44AE of the Act for computation of
business income; or

b) Income from Salary/Pension; or
c) Income from One House Property (excluding cases where loss is brought
forward from previous years); or
d) Income from Other Sources (Excluding winning from Lottery and Income from
Race Horses)

Note:

1. The Income computed shall be presumed to have been computed after giving
full effect to every loss, allowance, depreciation or deduction under the
Income Tax Act.
2. Further, in a case where the income of another person like spouse, minor
child, etc. is to be clubbed with the income of the assessee, this Return
Form can be used only if the Income being clubbed falls into either of the
above income categories

This Return Form cannot be used to file the
following incomes

a) Income from more than one House Property; or
b) Income from winnings from Lottery or income from Race Horses; or
c) Income under the head "Capital Gains", e.g. Short-term capital
gains or long-term capital gains from sale of house, plot, shares etc.; or
d) Agricultural income in excess of ₹ 5,000; or
e) Income from Speculative Business and other special incomes; or
f) Income from a profession as referred to in sub-section (1) of section 44AA
or income from agency business or income in nature of commission for
brokerage; or
g) Person claiming relief of foreign tax paid under section 90,90A or 91;or
h) Any resident having an asset (including financial interest in any entity)
located outside India or signing authority in any account located outside
India or
i) Any resident having income from any source outside India

ITR 4

This Return Form is to be used by an individual
or a Hindu Undivided Family for the assessment year 2015-16 who is carrying
out a proprietary business or profession.

ITR 7

This Form can be used by persons including
Companies who are required to furnish return under section 139(4A) or 139(4B)
or 139(4C) or 139(4D) or 139(4E).